E A RT H C H O C O L AT E S
2 010 an n ua l r e p o rt N E W Y O R K C I T Y, N Y
2010 a n n u a l r e p o r t 20 08
o u r m i s s i o n s tat e m e n t
The Ear th Chocolates mission is to br ing about th e awar e n e s s an d exp loration of ind igenous cu ltu re s th r o u gh th e c ombination of roots, sp ic es, flowe rs, fr u its, nuts a nd c hoc olate.
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ta b l e
of
contents
m i s s i o n s tat e m e n t
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lette r to share holde r s
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e x pan d i n g ou r h o r i z o n s
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balancing culture with busine ss
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f i nan c i a l h i g h l i g h t s & su m mary
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product dive r sity
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i n v e s t o r i n f o r mat i o n
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letter to
share holde r s
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lette r to share holde r s
to our share holde r s, in a challeng ing year for Earth Chocolates, 2010 was a considerably strong year in various aspects. We made significant progress in the implementation of our long-term strategy. I am pleased to report that 2010 was a year of solid growth. For 2010, Earth Chocolates was a strong
believe that our hard-work, determination,
year in various aspects. The company
and continual endeavors to revolutionize the
reported an increase in net earnings by
industry will transform our company into a
nearly 9%. These record sales and earnings
major competitor in the marketplace.
prove that Earth Chocolates is not only
Sincerely,
successfully capitalizing on the growth in specialty chocolates, but also helping to set the standard in exotic ingredients and products. We have truly solidified our position as a successful niche in chocolates.
NICHOLOS FISHCHETTI
To our board of director, creative
Chairman, President and Chief Executive Officer
team, employees, worldwide affiliates, and shareholders, I personally want to extend my sincere appreciation. Thank you for your continued support and making this past year one of the most successful in our history. Looking towards the future, I strongly
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“Earth Chocolates is not only about the infusion of new and cultural ingredients, but it’s about creating a sensory experience that connects the world through chocolate.” NICHOLOS FISHCHETTI
Chairman, President and Chief Executive Officer
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e x pand i ng our
horizons
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e x pand i ng our h ori zon s
earth chocolates has continually proved to embrace a var iety of cultures around the world. By expanding our chocolate ‘hor izons’ to new and intr iguing places, our products will not only represent the var ious indigenous areas, but also the delicate flavors of complex ing redients and aromas.
g o i n g b e yo n d c o n v e n t i o na l t h i n k i n g The oddity of infusing paprika, jasmine, chilies, and other herbal ingredients with chocolate we hope is helping to bring the world together. We have been gradually
we are heading in the right
expanding around the world
direction to not only expand
possibilities, we will have
in areas where ingredients are
our specialty product line, but
greater opportunities to
plentiful. The oddity of infusing
also gain considerable volume
enhance our company status in
paprika, curry, jasmine, raw
gains over time.
the chocolate industry.
coffee, black tea, chilies, and
other perplex ingredients with
our innovative portfolio will
we do not see our products as
chocolate we hope is helping
continue to become stronger
mere chocolate, we see them as
to bring the world together.
with a strong market share
cultural delicacies.
dominance in mind.
Throughout its history,
By taking gradual steps,
Earth Chocolates has
With specialty truffles and
demonstrated an enthusiasm
chocolate bars making up a
to face challenges and change.
majority of our already well
However, consistency has been
established product line, we are
one of our strengths while
expanding our products into
embracing change. With our
the holiday seasons, catering
continual internal acquisitions,
and wedding events, corporate
development, and partnerships,
gifts, and specialty gift boxes.
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By delving into these
Here at Earth Chocolates,
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balancing culture with
business
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balancing culture with busine ss
at earth chocolates we continue to explore var ious avenues for expansion, while also maintaining consistent marketing and business objectives. With shipment and sales significantly increasing, we str ive to always keep our business objectives and mission statement in balance. focused on tomorrow As we look to the future, we continue to
shipping systems. From the development
face many potential opportunities that can
of the company, our strategy was to bring
deliver strong results and increased volume.
about the awareness of indigenous cultures
With continual advanced manufacturing
through the infusions of complex flavors
techniques and equipment, we are able
with chocolate.
to create an extensive range of delectable
chocolate products which add to our
we will continue to develop new products,
established portfolio.
concoctions, manufacturing procedures,
We currently have several initiatives
and brands. By balancing our continuous
underway designed to maximize volume
endeavors to globalize our products with
gains while reducing costs. Over the next
our sales goals and profit targets, the
couple of years, we will focus on optimizing
company will remain the leading specialty
the productivity of our distribution and
chocolate company in the marketplace.
As we start to evolve as a company,
e a r t h c h o c o l at e o b j e c t i v e With shipment and sales significantly increasing, we always strive to keep our business objectives and mission statement in balance.
mar ket share Earth Chocolates is currently dominating the market share for speciality chocolate products.
earth chocolate s newbe rry exotic be lg ian cocoa chocosphe re cocoa java
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f i nanc i al h i g h l i g h t s and
sum mary
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f i nanc i al sum mary & h i g h l i g h t s
u.s. dollar s in thousands
2010
2009
2008
2007
2006
$ 665,889
$ 586,669
$ 563,821
$ 510,122
$ 415,114
Net Income Available
118,340
116,903
139,430
120,883
113,223
FFO
207,314
186,643
215,194
186,241
$201,233
Earnings per Share
1.39
1.41
1.33
1.41
1.35
FFO per Share
2.30
2.13
2.40
2.07
2.25
Dividends per Share
1.70
1.66
1.48
1.58
1.64
2010
2009
2008
2007
2006
$ 665,889
$ 586,669
$ 563,821
$ 510,122
$ 415,114
Market Equity
118,340
116,903
139,430
120,883
113,223
Shares Outstanding
207,314
186,643
215,194
186,241
$201,233
Revenues
Per Diluted Share and Unit
u.s. dollar s in thousands Total Assets
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revenues ( i n tho u s a n d s )
earnings pe r share ( d il u t e d )
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dividends per share
BANKS ALASKA
SAN FRANCISCO
CHILE
PRODUCT DIVERSIT Y ARGENTINA
Ear th Chocolates is dedicated to using high quality, exotic spices, roots, nuts, fruits, and herbs from all different cultures around the world. This world map displays our commitment to incor porating indigenous flavors from various countr ies for making our speciality chocolates.
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JAPAN TAIWAN
INDIA
MAGAGASCAR
AUSTR ALIA NEW ZEAL AND
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i n v e s t o r i n f o r mat i o n
officers
other info
a n n ua l m e e t i n g
Nicholous Fischetti Chairman, Presdient and Chief Executive Officer
You may obtain, at no charge, a copy of the Earth Chocolates Annual Report by writing to the Vice President and Secretary’s Office at our world headquarters, calling 1-800-DIAL-EARTH, or by accessing our website at www.earthchocolates.com.
Shareholders are cordially inited to attend the 2008 annual meeting which will be held at 11:00a.m., Tuesday, October 2, 2008 at the Earth Chocolates Headquarter in New York City, NY.
Jeffery Portnoy Executive Vice President and Chief Financial Officer Phillip Andrianos Senior Vice President, Chief Legal Officer and Secretary
we b addre sse s
Gregory LaSpina Former Executive Vice President
You can access corporate, financial and investor information by going to:
h e a d q ua r t e r s
www.earthchocolates.com
355 Lexington Ave Building Suite 780 New York, NY 10017
dividends Dividends are normally paid in the months of April, March, September and December. They may be electronically deposited into an account at the financial institution or online.
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c o n tac t i n f o You can contact Earth Chocolates either by phone at (201) 452-1234. stock exchange The New York Stock Exchange is the principal market for Earth Chocolates common stock. Ticker Symbol: EC
“Our headquarters is located in New York City where we manufacture, create, and distribute all the Earth Chocolate products.” HEADQUARTERS
New York City, New York 12820 (201) 452-1234 www.earthchocolates.com
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